Existing Clients
It is possible to apply direct to Avalon by submitting your application on an 'execution only' basis - ie without advice. However, Avalon strongly recommends that you seek the advice of a suitably qualified independent financial adviser when dealing with matters as serious as investing your money! Details of an IFA local to you can be found at www.unbiased.co.uk
Through our Freedom products you can invest in any unit trust, OEIC or investment trust. What's more, as new funds come on the market so you can invest in them if you wish as soon as they are launched, unlike many of our competitors. In the case of ISA's the only restriction is that the funds you select need to qualify for ISA investment in accordance with HMRC Regulations. Please note that the Protected Cash ISA invests in only one fund - the Close Escalator 100 Fund (which is a Protected Fund) but this does provide the option to switch to a Stocks and Shares Freedom ISA for a small charge.
A fund is a collective investment scheme where money is pooled, which is invested in a portfolio of securities with a common investment purpose.
OEICs and Unit Trusts are examples of funds.
A unit trust is a portfolio of holdings in various companies. This is divided into units and managed by professionals.
An Open-Ended Investment Company (OEIC) is a type of collective investment scheme, similar to a unit trust except that an OEIC is incorporated as a separate legal entity and issues shares rather than units.
Yes, as long as they qualify for ISA investment
For lump sum subscriptions this is £500 and for monthly subscriptions the minimum per fund is £40
Yes we do and Avalon does not charge for switching funds. The only cost you will incur will be the cost of purchasing your new selected investments with the fund management companies you have chosen.
Avalon charges 1% of the subscription amount to purchase a Freedom ISA and 0.25% to go into a Freedom Portfolio. The Freedom SIPP offers a choice of charging structure and further details are available on this website.
There is also a charge made by the Fund Manager for entering the fund . It is based on a percentage of the amount contributed, typically ranging from 0% to 5.5%.
We offer discounts on the vast majority of Funds in which we trade, often buying at 0% - 0.5%. If you would like specific charges for specific funds you have in mind, please phone us and we will be able to provide you with more accurate charging information.
A payment made by a Fund Manager to the company who arranged the purchase of the units/shares on your behalf. Any renewal commission rebated to Avalon by the fund management groups is given back to clients who hold that asset, in order to offset the overall management fees associated with your Freedom product.
You may have also agreed to pay your financial adviser renewal commission for ongoing advice relating to the investments in your Freedom product. This is normally a percentage of the value of your account and is taken at quarterly valuation points at the same time as Avalons management fee.
No.
No.
Not for Unit Trust or OEIC purchases but stamp duty is payable if you are investing in Investment Trusts or direct equities
The current limit from April 2010 is £10,200 each tax year (if you do not subscribe to a Cash ISA or any other Stocks & Shares ISA in the same tax year).
For Cash ISA's this limit has incresed to £5,100. The remainder of the £10,200 total can be invested into a Stocks and Shares ISA.
You can make one-off payments or set up a regular monthly payment.
The Protected Cash ISA can only be funded by lump sum subscriptions
In the 'Download' section of the website you will find transfer and application forms. Please complete these and send them back to us. We will then organise the transfer on your behalf.
If you are transferring stock 'in-specie' (ie without encashing the assets), this usually takes between 6-8 weeks. This is the industry standard. If you are transferring in cash this should usually take a couple of weeks.
Avalon will charge 1% of the amount or value being transferred into the Freedom ISA or 0.25% of the amount being transferred into the Freedom Portfolio. Your current ISA Manager may also make a charge for transferring.
Most funds can be transferred to us 'in-specie'. However, some fund managers will not allow in-specie transfers out or may make an extra charge to do so. It is worth finding this out before application.
If assets cannot be transferred in this way, the ceding fund manager will normally sell the assets and transfer in cash.
Yes you can. In fact you can transfer your Cash ISA into the Avalon Protected Cash ISA or the Avalon Freedom Stocks and Shares ISA. The choice is yours.
Yes
Yes, and we apply interest at the prevailing business banking rates
If the income is paid from fixed interest funds such as corporate bond funds, we will either receive the payment gross and pay the full amount into your ISA or we will receive it net of 20% tax, and we will reclaim the tax back from HM Revenue & Customs then pay it into your ISA.
A type of fund that usually re-invests the dividends it receives in the underlying assets back into the fund.
Dividends paid out by the fund manager reflect the distribution of income for the whole period since any previous dividends were paid, regardless of when the units or shares were purchased. To ensure the fair treatment of all unit/shareholders, the purchase price of the fund includes a sum of money which represents the income accumulated on those units/shares up to the point of purchase.
When an investor receives their first dividend it will include an 'equalisation' payment, which is the value of the accumulated income up to the point of purchase. This in effect returns part of the purchase price and as such, is not taxable as income.
We already have many clients who take out a Freedom Portfolo and then use funds from this product to utilise their tax free ISA allowance each year. Please contact our office for more information on charges and applications.
As our products are completely open choice we are unable to offer client specific illustrations. We do have example illustrations in the Key Features section of our product literature and we ask that you use these as a guide. We will, however, provide an illustration when a client is using our monthly paid Freedom ISA to fund a mortgage.
For further details of our products and services please download the literature from the download section of our website, access the 'Contact Us' section of the website, or you can always give us a call on 01666 501710. We will be happy to help.
Please remember the value of your investments and the income from them can go down as well as up. You may not get back the full amount you have invested. If you're in any doubt about the suitability of any of our products, you should consult an appropriate Financial Adviser.
Please note Avalon Investment Services and its staff are not authorised to provide investment advice.